Foreign Investors on Gas Network Wanted Amid National Interest Worries

The Indonesian government is set to launch an international auction to expedite the development of household gas networks. The Energy and Mineral Resources Ministry's Director General of Oil and Gas, Tutuka Ariadji, announced that the directorate would first finalize the public-private partnerships (KPBU) as part of the revision of Presidential Regulation No. 6/2019 on gas networks (jargas).

According to Tutuka, the policy revision aligns with efforts to incorporate new public-private partnership options into the gas network procurement program. Under the new regulations, the government extensively opens up private investment opportunities while ensuring financial guarantees. "There is a high likelihood that the tender will be internationally open, allowing participation from foreign investors, thereby accelerating our progress," Tutuka stated in an interview with Bisnis Indonesia on Feb 18.